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Federal agency investigating workers’ claims

By RANDAL YAKEY | The News Herald

Published: Saturday, September 7, 2013 at 06:14 PM.

“We have met with the Labor Department to offer our assistance with their investigation into the business practices of Mr. Clean,” Wohlford said. “We contracted with Mr. Clean in the past, and want to assist where we can to make sure all employees, ours or others, receive fair treatment.”

Oases Resorts of Panama City Beach, and its owner Thomas J. Duggan, have been the focus of an unrelated fraud investigation by the Panama City Beach Police for the allegedly defrauding about 300 condominium owners of rent they were owed for the management of their properties.

None of the property managers returned requests for comment on the Labor Department investigation.

According to complaints filed with the DOL, the guest workers were required to pay between $1,800 and $2,500 each in mandatory pre-employment expenses. NGA’s lawyers contended the practice is illegal.

The Jamaican workers were supposed to be paid between $8.50 and $9 an hour. Most of them did not get anywhere close to that, Horwitz said.

Horwitz said the workers were recruited by Reynaldo Villanueva, owner and operator of Mister Clean.

PANAMA CITY BEACH — The U.S. Department of Labor (DOL) has opened an investigation regarding the Jamaican guest workers who have alleged they were mistreated, underpaid and threatened while working at a number of resorts from Panama City Beach to Destin, federal officials said.

Guest workers who were employed by the Mister Clean Laundry and Cleaning Service of Destin were contract workers at four affiliates of Resort Collection of Panama City Beach: Majestic Beach Resort, the Long Beach Resort, Edgewater Beach Resort and the Summit Beach Resort. They filed a complaint with the DOL saying Mr. Clean paid substandard wages and housed them in substandard conditions.

Other properties who the National Guestworker Alliance (NGA) said utilized Mister Clean guest workers were Silver Shells Beach Resort and Spa in Destin, Five Star Beach Properties, LLC in Santa Rosa Beach and Oases Resorts LLC of Panama City Beach.

According to NGA organizer Jacob Horwitz, the guest workers walked off the job at the resorts in protest of the lack of pay and living conditions.

Horwitz said investigators are looking to see if the resort owners had any knowledge of Mister Clean’s alleged labor law abuses. Horwitz noted the resorts would become part of the investigation if it could be proved they knew of the alleged illegal practices by Mister Clean.

The Labor Department said all aspects of the situation will be investigated, including whether the resorts were aware of the workers’ living and working conditions.

Paul Wohlford, vice president of sales and marketing for The Resort Collection, has denied having any knowledge of how the accusing employees were treated. He issued a statement Friday afternoon regarding the DOL investigation.

“We have met with the Labor Department to offer our assistance with their investigation into the business practices of Mr. Clean,” Wohlford said. “We contracted with Mr. Clean in the past, and want to assist where we can to make sure all employees, ours or others, receive fair treatment.”

Oases Resorts of Panama City Beach, and its owner Thomas J. Duggan, have been the focus of an unrelated fraud investigation by the Panama City Beach Police for the allegedly defrauding about 300 condominium owners of rent they were owed for the management of their properties.

None of the property managers returned requests for comment on the Labor Department investigation.

According to complaints filed with the DOL, the guest workers were required to pay between $1,800 and $2,500 each in mandatory pre-employment expenses. NGA’s lawyers contended the practice is illegal.

The Jamaican workers were supposed to be paid between $8.50 and $9 an hour. Most of them did not get anywhere close to that, Horwitz said.

Horwitz said the workers were recruited by Reynaldo Villanueva, owner and operator of Mister Clean.